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Showing posts with the label #Stocktraining

THE PROS AND CONS OF BETA

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These are a few advantages and disadvantages of using Beta. ADVANTAGES  * Beta is a useful measurement for CAPM * It is a straightforward, quantifiable measure of risk  * knowing risk levels is helpful when investing and determining cost of equity  DISADVANTAGES  * Beta looks backwards, which makes it less useful for predicting future stock movements  * Beta does not incorporate or account for new information  * For long-term investors, beta is not as useful, since it can change greatly over time. In the meantime, beta is a useful tool for determining short-term risk and for calculating quantifiable measures of volatility to aid in finding equity costs. Though, it has its pros and cons like any other investing tools,but can be a great way to establish the stability and the volatility in ones portfolio. Investdata Academy

MUTUAL FUND

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A mutual fund is an investment vehicle made up of a pool of monies collected from many investors for the purpose of investing in securities such as stocks, bonds, money instruments and other assets. They are operated by professional money managers, who allocate the fund’s investments and try to produce capital gains for the fund investors. Mutual funds pool money from the investing public and use that money to buy other securities, usually stocks and bonds. The value of the mutual fund company depends on the performance of the securities it decides to buy. So when one buys a share of a mutual fund, one is actually buying the performance of its portfolio. Investdata Academy [6/6, 12:47] Investdata 2: *Ultimately, Your Success in Stock Market boils down to your ability to do this...* I’ve faced many trials in life – business failures, personal distress, even loss of money. Yet, I’ve always managed to not only overcome them, but have even fashioned a lif...

ABC Strategies that will help you SURVIVE a Bearish market

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With the recent deepen downturn in market and feedback regarding how to cope under such  conditions, there is the need to discuss how to cope in a bearish condition (Market wide decline in stock prices). Hence we will be looking at 3 strategies for achieving that. 1. Don't be emotional As an Investors you should try to always separate their emotions from the investment decision-making process. So, it is strictly recommended that you base your decision on facts and figures that affect stocks prices not the way you feel or emotional attachment to a particular stock. I have been a victim on several occasions.  2. Diversification  Having a percentage of your portfolio spread among stocks, bonds, cash and alternative assets is the core of diversification. How you slice up your portfolio depends on your risk tolerance, time horizon, goals, etc. Every investor's situation is different. A proper asset allocation strategy will allow you to avoid the ...

MARKET UPDATE FOR AUGUST 2, 2017

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NSE INDICATORS CLIMB HIGHER, AS INVESTORS REVALUE STOCKS ON Q2 NUMBERS NSEASI DAILY TIME FRAME MOVEMENT Nigeria's stock market indices had an interesting midweek trading session to continue its volatility after opening to the downside, coming up strongly by the afternoon to an intraday high of 36,905.06bp From that point they had a nice and long serve back, taking back the majority of the pullback, following which the session ended positive to consolidate gains recorded beginning from the first trading day of the month, as value investing on the strength of the Q2 numbers remains one of the factors to drive market in August. The manufacturing sector's Purchasing Managers' Index (PMI) for the past four months has been stable in its expansion trend to close July at 56.3, from 55.9 in previous month, indicating improvements in the nation's production capacity. Nigeria was not alone, as global manufacturing activities grew for a 17 th consecutive mo...